Hydropower Market Size
| Study Period | 2020 - 2029 |
| Market Volume (2024) | 1.40 terawatt |
| Market Volume (2029) | 1.47 terawatt |
| CAGR (2024 - 2029) | 1.02 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | Asia Pacific |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Hydropower Market Analysis
The Hydropower Market size is estimated at 1.40 terawatt in 2024, and is expected to reach 1.47 terawatt by 2029, growing at a CAGR of 1.02% during the forecast period (2024-2029).
- Over the medium term, gactors such as the increasing number of new hydropower projects backed by government support and the rising demand for reliable electricity are expected to drive the market during the forecast period.
- On the other hand, negative environmental consequences of hydropower projects are likely to hinder the market growth during the forecast period.
- Nevertheless, emerging technological trends aimed at increasing hydropower generation are expected to provide significant opportunities for the hydropower market in the coming years.
- Asia-Pacifc is estimated to dominate the market due to increasing investment in hydropower projects across the various countries in the region.
Hydropower Market Trends
The Large Hydropower (Greater Than 100 MW) Segment to Dominate the Market
- Large-scale hydropower is a form of renewable energy generation derived from flowing water, which is used to drive large water turbines. In order to generate large amounts of hydroelectricity for cities, lakes, reservoirs, and dams are needed to store and regulate water for later release for power generation, irrigation, and domestic or industrial use. Since large-scale hydropower facilities can easily be turned on and off, hydropower has become more reliable than most other energy sources for meeting peak electricity demands throughout the day.
- Conventional hydroelectric dams, pumped storage, and run-of-the-river are the different types of large-scale hydropower plants worldwide.
- As per International Renewable Energy Agency, around USD 7.55 billion was invested in hydropower globally in 2022, whereas around USD 7.83 billion was invested in 2021. The constant investment in new hydropower capacity globally drives growth in large hydropower segments. Also, the average cost of large hydropower installation is comparatively low.
- China, Brazil, the United States, Canada, India, and Japan are the major countries in the deployment of large-scale hydropower projects across the world. Factors such as a shift towards cleaner energy sources and plans to increase the share of renewable energy in the total power generation mix across all the major developed and emerging economies across the world are expected to drive the large hydropower segment during the forecast period.
- In addition to the major hydropower countries, smaller countries from the Southeast Asia region are also moving forward rapidly in the large hydropower development. Increasing demand for energy to boost the Mekong economy has attracted riparian countries' keen interest in hydropower development. Over the last few decades, this has been evidenced by extensive investment in hydropower projects across the region.
- For instance, the Lao government announced that it plans to complete 12 hydropower dam projects with a total capacity of 1,950 MW. Hydropower development is a central priority of the Lao government's plan to export around 20,000 MW of electricity to its neighboring countries by 2030.
- In May 2022, Drax Group PLC invested USD 616 million in the Cruachan power station. The company planned to add 600 MW of underground pumped storage hydropower capacity to the Cruachan power station. The company plans to double the Cruachan facility's capacity by 2030, and work on-site begins in 2024. The company plans to hollow out a cavern in Ben Cruachan and excavate around two million tons of rock to house the power station and related infrastructure.
- Therefore, based on the factors mentioned above, the large hydropower (greater than 100 MW) segment is expected to dominate the global hydropower market during the forecast period.
Asia-Pacific to Dominate the Market
- The Asian-Pacific region has dominated the hydropower market in recent years, and it is likely to maintain its dominance during the forecast period. According to International Renewable Energy Agency, as of 2022, China is the global leader in the hydropower market, with an installed capacity of 413.5 GW.
- China announced its plan to become carbon neutral by 2060 and peak coal consumption by 2025. This led to increased investment in the renewable sector, and in 2022, around 22.5 GW of new hydropower was installed.
- In May 2023, the National Development and Reform Commission (NDRC) of China announced to approval construction of a new hydropower plant in the Xizang Autonomous region which will have capital backing of around USD 8.43 billion. The annual average electricity volume produced by the plant will surpass 11.28 billion kilowatt-hours.
- Further, in February 2023, India approved a USD 3.9 billion investment for the 2,880 megawatts (MW) Dibang hydropower project in Arunachal Pradesh, National Hydroelectric Power Corporation (NHPC), and it is estimated that this project will take nine years to build.
- Therefore, based on the factors mentioned above, Asia-Pacific is expected to dominate the global hydropower market during the forecast period.
Hydropower Industry Overview
The hydropower market is semi-consolidated. Some of the major players include (not in particular order) GE Renewable Energy, Siemens Energy AG, Andritz AG, Voith GmbH & Co. KGaA, and PJSC RusHydro, among others.
In March 2022, ANDRITZ and the Electricity Generating Authority of Thailand (EGAT) signed a Memorandum of Understanding (MoU) to jointly explore and expand business opportunities for hydropower projects in Thailand and surrounding Southeast Asian countries.
Hydropower Market Leaders
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GE Renewable Energy
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Siemens Energy AG
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Andritz AG
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Voith GmbH & Co. KGaA
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PJSC RusHydro
*Disclaimer: Major Players sorted in no particular order
Hydropower Market News
- May 2023: Satluj Jal Vidyut Nigam (SJVN) of India has been granted permission by Nepal to develop a second hydropower project in the country. Currently, the firm is developing a 900-MW Arun-III hydroelectric project located on the Arun River in Eastern Nepal. This project is scheduled to be completed in 2024. Investment Board Nepal (IBN) has approved to build of the 669 MW Lower Arun hydropower project in eastern Nepal.
- December 2022: China announced the completion of its second-largest hydropower facility, the Baihetan hydropower plant, on the upstream branch of the Yangtze River. This facility will be equipped with 16 one-GW turbines.
Hydropower Market Report - Table of Contents
1. INTRODUCTION
1.1 Scope of the Study
1.2 Market Definition
1.3 Study Assumptions
2. EXECUTIVE SUMMARY
3. RESEARCH METHODOLOGY
4. MARKET OVERVIEW
4.1 Introduction
4.2 Installed Capacity and Forecast in GW, till 2029
4.3 Recent Trends and Developments
4.4 Government Policies and Regulations
4.5 Market Dynamics
4.5.1 Drivers
4.5.1.1 Rising Demand for Reliable Electricity
4.5.1.2 Increasing Government Support for Hydropower Gneeration
4.5.2 Restraints
4.5.2.1 Negative Environmental Consequences of Hydropower Projects
4.6 Supply Chain Analysis
4.7 Porter's Five Forces Analysis
4.7.1 Bargaining Power of Suppliers
4.7.2 Bargaining Power of Consumers
4.7.3 Threat of New Entrants
4.7.4 Threat of Substitutes Products and Services
4.7.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
5.1 Size
5.1.1 Large Hydropower (Greater Than 100 MW)
5.1.2 Small Hydropower (Smaller Than 10 MW)
5.1.3 Other Sizes (10-100 MW)
5.2 Geography
5.2.1 North America
5.2.1.1 United States
5.2.1.2 Canada
5.2.1.3 Rest of North America
5.2.2 Europe
5.2.2.1 Germany
5.2.2.2 France
5.2.2.3 United Kingdom
5.2.2.4 Rest of Europe
5.2.3 Asia-Pacific
5.2.3.1 China
5.2.3.2 India
5.2.3.3 Japan
5.2.3.4 South Korea
5.2.3.5 Rest of Asia-Pacific
5.2.4 South America
5.2.4.1 Brazil
5.2.4.2 Argentina
5.2.4.3 Rest of South America
5.2.5 Middle East and Africa
5.2.5.1 Saudi Arabia
5.2.5.2 United Arab Emirates
5.2.5.3 South Africa
5.2.5.4 Rest of Middle East and Africa
6. COMPETITIVE LANDSCAPE
6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
6.2 Strategies Adopted by Leading Players
6.3 Company Profiles
6.3.1 GE Renewable Energy
6.3.2 Siemens Energy AG
6.3.3 Andritz AG
6.3.4 Voith GmbH & Co. KGaA
6.3.5 China Yangtze Power Co. Ltd
6.3.6 PJSC RusHydro
6.3.7 Électricité de France SA (EDF)
6.3.8 Iberdrola SA
- *List Not Exhaustive
6.4 Market Ranking/Share Analysis
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
7.1 Emerging Technological Trends Aimed at Increasing Hydropower Generation
Hydropower Industry Segmentation
Hydropower is one of the largest and oldest renewable energy sources, and it uses the natural flow of moving water to produce electricity. Hydropower is also applied as half of an energy storage system known as pumped-storage hydroelectricity. It is an alternative source of electricity production for fossil fuels as it doesn't directly produce carbon emissions.
The hydropower market is segmented by type and geography. By type, the market is segmented into large hydropower (greater than 100 MW), small hydropower (smaller than 10 MW), and other sizes (10-100 MW). The report also covers the size and forecasts of the power market across major regions. For each segment, the market sizing and forecasts have been done based on installed capacity in terawatts (TW).
| Size | |
| Large Hydropower (Greater Than 100 MW) | |
| Small Hydropower (Smaller Than 10 MW) | |
| Other Sizes (10-100 MW) |
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Hydropower Market Research FAQs
How big is the Hydropower Market?
The Hydropower Market size is expected to reach 1.40 terawatt in 2024 and grow at a CAGR of 1.02% to reach 1.47 terawatt by 2029.
What is the current Hydropower Market size?
In 2024, the Hydropower Market size is expected to reach 1.40 terawatt.
Who are the key players in Hydropower Market?
GE Renewable Energy, Siemens Energy AG, Andritz AG, Voith GmbH & Co. KGaA and PJSC RusHydro are the major companies operating in the Hydropower Market.
Which is the fastest growing region in Hydropower Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Hydropower Market?
In 2024, the Asia Pacific accounts for the largest market share in Hydropower Market.
What years does this Hydropower Market cover, and what was the market size in 2023?
In 2023, the Hydropower Market size was estimated at 1.39 terawatt. The report covers the Hydropower Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the Hydropower Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Hydropower Industry Report
Statistics for the 2024 Hydropower market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Hydropower analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
Hydropower Market Report Snapshots
